Short-term help critical for countryside

18 October 2001



‘Short-term help critical for countryside’

By Alistair Driver

SHORT-TERM help is critical if the rural economy is to survive the winter without significant damage, says a report from the Rural Task Force.

The task force was set up by Tony Blair in March to examine how to cope with effects of foot-and-mouth disease.

Its chairman, rural affairs minister Alun Michael, says the government must acknowledge that the “short-term is critical”.

Presenting the report on Thursday (18 October), Mr Michael said it “identifies a risk of significant damage to the rural economy during the winter unless further assistance is provided.”

Without help, there is a risk of widespread business failures during the winter, says the report.

The report, Tackling the Impact of Foot-and-Mouth Disease on the Rural Economy, was published on the same day that Lord Haskins published his, on rural recovery in Cumbria.

Many of the same themes are addressed.

The task force says the government should extend tax deferral and rate relief for affected businesses until March 2002.

It should also provide more resources to the business recovery fund.

It recommends a government review of the various forms of assistance currently provided and whether more can be done to encourage take-up of this help.

The capacity of farm business advisers should be expanded.

In the longer term, the government must “relaunch” the countryside, says the task force.

Future policies must take into account farmings link with the wider rural economy “in a way they have never done before”.

The disease crisis has shown just how interdependent farming and tourism are, it says.

“Farmers have a vital role in the life of the nation as providers of food and managers of the landscape,” the report says.

Rural businesses and business organisations should be encouraged to develop local supply chains and marketing initiatives, the report says.

The NFU welcomed the reports acknowledgement of farmings wider role in the rural economy, and said the government must respond quickly in implementing the recommendations.

“The proposal for a more broad-based re-launch of the countryside offers a lot of potential,” NFU vice president Michael Paske said.

The rural task force comprises representatives from a range of government departments and agencies and farming, tourism, small business and conservation groups.

• Haskins unveils rural recovery plan, FWi, 18 October, 2001
• Implement recovery plan now – NFU, FWi 18 October, 2001